Issued and Outstanding 34,445,776 Common Shares
Highlights - Sturgeon River Mine
- 100% of the legal and beneficial interest in the Sturgeon River Mine
located in the Beardmore-Geraldton.
- Sturgeon River Mine previously operated from 1936 to 1942 and
produced 73,332 oz. of gold and 15,922 oz. of silver from 233,476
tons of ore.
- Historical ore reserves near the time of closure were 130,680 tons
grading 0.306 oz. gold per ton. (This historical estimate is not
current and should not be relied upon.)
- Hosting more than 120 veins and mineralized zones, many of which
indicate significant gold mineralization, and several of the sulphide
showings include notable base metal values.
- Property also has the potential to host zinc-copper VMS-type
TORONTO, Oct. 4 /CNW/ - Laurion Mineral Exploration Inc. (TSXV: LME)
("Laurion") is pleased to announce that it has entered into a purchase and
sale agreement (the "Agreement") with St. Andrew Goldfields Ltd. ("St.
Andrew") pursuant to which, St. Andrew will sell to Laurion, 100% of the legal
and beneficial interest in the Sturgeon River Mine located in the
Beardmore-Geraldton district in Ontario (the "Sturgeon River Mine"), in
consideration for 500,000 common shares (the "Shares") in the capital of
Laurion, at a deemed issuance price of $0.10 per Share. The Agreement remains
subject to the approval of the TSX Venture Exchange and subject to the
completion of certain condition precedents within the Agreement.
The Sturgeon River Mine consists of thirty-five (35) patented mineral
claims located in the historic Geraldton-Beardmore Gold Camp, 120 kilometres
northeast of Thunder Bay, Ontario. The Sturgeon River Mine operated from 1936
to 1942 and during such time produced 73,332 oz. of gold and 15,922 oz. of
silver from 233,476 tons of ore. Workings consisted of a vertical shaft with a
depth of 2,108 ft. and 15 levels with a depth of 125 ft. to 2,080 ft. When the
Sturgeon River Mine closed it was estimated to have reserves of 130,680 tons
grading of 0.306 oz. of gold per ton. ((2)OM 86-43) This historical estimate
is not current and does not meet CIM Definition Standards and is here for
historical proposes and should not be relied upon.
Sturgeon River Mine is reported to host more than 120 other veins and
mineralized zones, many of which indicate significant gold mineralization, and
sulphide showings with notable base metal values.
Major surface exploration was undertaken on the Sturgeon River Mine
between the years of 1984 to 1986 by Phoenix Gold Mines Limited. Of the 70
veins tested during such time, some 45 veins were new discoveries located by
prospecting and mechanical stripping work. ((1) Dr. Derek E. McBride).
The surface exploration discovered new significant gold mineralization at
one location on the Macjoe part of the Sturgeon River Mine (Marge Vein - 505
ft. length averaging 0.727 oz. Au/ton over 1.17 ft. width) and at one location
on the Agaura Block (85-A2 and -A2B veins -403 ft. aggregate length averaging
0.525 oz. Au/ton over 0.61 ft. width.) The highlight of the 1986 work was the
extension to nearly double the known length of significant gold mineralization
at the Marge Vein (to an overall 974 ft. length averaging 0.514 oz. Au/ton
over 1.19 ft. width), and the discovery of three other notable veins (F, X,
Allard Veins) with some visible gold in the vicinity of the Marge Vein. ((2)OM
Phoenix Gold Mines recommended in its 1988 summary report a follow-up
program of 10,000 feet of diamond drilling to test the depth and strike extent
of known mineralization at the Sturgeon River Mine. In 1988-89 Placer-Dome
Inc. optioned the Sturgeon River Mine and carried out mapping, sampling and a
28 hole drilling program (13,821 ft.). The drilling program identified 5 holes
which graded 0.14 oz Au/ton over 3 ft. to 0.54 oz Au/ton over 3 ft. The
average grade of the 5 intersections was 0.333 oz Au/ton across 2.8 ft.
((3)Watts, Griffis and McOuat - 1996)
The Sturgeon River Mine also has the potential to host zinc-copper
VMS-type mineralization in rhyolitic volcanics. Grab and chip samples taken in
the vicinity of the Agaura Block located within the Sturgeon River Mine,
returned values ranging from 2% to 17% Zn, 0.05 to 0.65% Cu, 0.05 to 0.75
oz/ton Ag, and trace to 0.06 oz/ton Au. (4 M.L Halladay)
The technical information contained in this Press Release has been
reviewed and approved by Paul A. Hawkins P.Eng., an independent qualified
person as defined by National Instrument 43-101.
Laurion Mineral Exploration Inc. is an early stage exploration specialist
company with projects in Ontario. Laurion's exploration horizons encompass not
only gold, but also base metals and PGE's.
The TSX Venture Exchange has neither approved nor disapproved the
information contained herein and does not accept responsibility for the
adequacy or accuracy of this release.
Note to Reader: The Sturgeon River Mine ore estimates are historical, and
have not been confirmed by a qualified person under National Instrument
43-101: Standards of Disclosure for Mineral Projects, and should not be relied
upon. All references to the historic data are noted below:
1. Exploration Summary report on the Sturgeon River Gold Mines Property
of Phoenix Gold Mines Limited, Beardmore, Ontario - July 1986 - Dr.
Derek McBride (P.Eng).
2. Report No. OM86-43 - Phoenix Gold Mines Limited 1986 Exploration
Program Report Sturgeon River Gold Mines Property Beardmore Area,
Ontario. - February 3, 1988 - L.O. Koskitalo, B.Sc. (Project
3. Valuation of St. Andrew Goldfields Properties - January 1996 - Ross
D. Lawrence (P.Eng.) - Watts Griffis McOuat.
4. Report on Geological Mapping - Phoenix River Gold Mines Ltd. -
Sturgeon River Area - M.L. Halliday (P.Eng) - December 1985.
For further information:
For further information: Laurion Mineral Exploration Inc.: Cynthia Le
Sueur-Aquin - President, Tel: (705) 788-9186 - Fax: (705) 788-9187 - Website:
www.laurion.ca; CHF Investor Relations - www.chfir.com: Cathy Hume, CEO,
firstname.lastname@example.org, Barry Leung - Broker Relations - Account Manager,
email@example.com, Tel: (416) 868-1079